Paylocity Holding ( ($PCTY) ) has released its Q2 earnings. Here is a breakdown of the information Paylocity Holding presented to its investors.
Paylocity Holding Corporation is a prominent provider of cloud-based HR, payroll, and spend management software solutions, known for its intuitive products and strong workplace culture, operating primarily in the technology sector.
In its second quarter of fiscal year 2025, Paylocity reported strong financial results, with a notable increase in both recurring and total revenue, continuing the momentum from the previous quarter. The company highlighted its successful sales performance and product differentiation, contributing to its robust financial position.
Key financial highlights include a 16% year-over-year increase in total revenue to $377.0 million, and a 17% rise in recurring and other revenue to $347.7 million. The company’s non-GAAP operating income also saw an improvement, reaching $101.1 million compared to $92.8 million in the prior year. Adjusted EBITDA grew to $126.2 million, reflecting Paylocity’s operational efficiency and growth strategy.
Despite a slight dip in GAAP net income to $37.5 million from $38.1 million a year ago, the company maintains a strong balance sheet, with cash and cash equivalents totaling $482.4 million and long-term debt at $325.0 million due to recent acquisitions.
Looking ahead, Paylocity projects continued growth, with expectations of increased revenues and adjusted EBITDA for the third quarter and full fiscal year 2025, indicating confidence in their strategic direction and market position.
